The final demand index had advanced 0.6 per cent in May and 1.1 per cent in April. On an unadjusted basis, the index increased 5.5 per cent for the 12 months ended in June, the BLS said in a press release.
US’ producer price index (PPI) for final demand fell 0.3 per cent in June as a 1.4 per cent drop in goods outweighed higher services.
Sourcing teams saw easing in input-linked areas, with lower energy, fuel, thermoplastic resin, raw cotton and processed intermediate goods.
Retail and service margins were firmer, including apparel, jewellery, footwear and accessories retailing, leaving cost signals mixed.
The index for final demand less foods, energy and trade services rose 0.1 per cent in June after increasing 0.8 per cent in May, and was up 5.1 per cent over 12 months.
Within final demand goods, nearly two-thirds of the June decline to gasoline prices, which dropped 12.0 per cent.
Final demand energy prices fell 6.4 per cent and final demand foods declined 0.6 per cent, while goods prices excluding foods and energy increased 0.2 per cent. Plastic products prices advanced 1.6 per cent.
In final demand services, the index rose 0.2 per cent after falling 0.1 per cent in May. Over 60 per cent of the advance was attributed to margins for final demand trade services, which increased 0.4 per cent. The data also listed higher indexes for furniture retailing and for apparel, jewellery, footwear and accessories retailing, while margins for machinery and vehicle wholesaling declined 8.4 per cent.
Processed goods for intermediate demand fell 1.2 per cent in June, the largest decrease since December 2022, led by a 7.3 per cent drop in processed energy goods.Â
Fibre2Fashion News Desk
